Accounts receivable turnover and days’ sales in receivables For two recent years, Robinhood Company reported the following: Line Item Description 20Y9 20Y8 Sales $7,906,000 $6,726,000 Accounts receivable:     Beginning of year 600,000 540,000 End of year 580,000 600,000 a. Determine the accounts receivable turnover for 20Y9 and 20Y8. Round your answers to one decimal place. b. Determine the days’ sales in receivables for 20Y9 and 20Y8. Assume 365 days in a year. Round intermediate calculations and final answers to one decimal place.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Accounts receivable turnover and days’ sales in receivables

For two recent years, Robinhood Company reported the following:

Line Item Description 20Y9 20Y8
Sales $7,906,000 $6,726,000
Accounts receivable:    
Beginning of year 600,000 540,000
End of year 580,000 600,000

a. Determine the accounts receivable turnover for 20Y9 and 20Y8. Round your answers to one decimal place.

b. Determine the days’ sales in receivables for 20Y9 and 20Y8. Assume 365 days in a year. Round intermediate calculations and final answers to one decimal place.

 

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